Bill Gross: The Re-En-Wrongening

By

Mark Gongloff

Aug 8, 2011 11:14 am ET

Bill Gross lurved S&P’s downgrade of the US, he said this morning. And it’s no surprise: He is not a fan of America’s debt, hasn’t been for months now.

Except the bond market has not cooperated and continues to not cooperate with Mr. Gross’s bond call. On the first trading dayafter US debt gets downgraded for the first time in history, investors are responding by buying US debt.

The 10-year Treasury note is now yielding 2.41%, down from 2.55% on Friday, before the downgrade (though after lots of rumors about the downgrade).

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